The torque distribution strategy of distributed drive electric vehicle is only aimed at safety or economy. A multi-target coordinated control method considering stability and economy is proposed to solve the problem of single torque distribution target, which consists of a coordination decision controller, a high-level motion controller, and a low-level allocation controller. The coordination decision controller based on the phase plane method determines whether to adopt a stability or economic control strategy. The high-level motion controller consists of a bicycle model with 2 degree of freedom, a speed tracking controller, a stability controller, and an economic controller to calculate the desired direct yaw moment of the four in-wheel motors. The stability controller based on the fuzzy algorithm tracks the desired vehicle side slip angle and yaw rate calculated by the bicycle model with 2 degree of freedom to control vehicle stability. The economical controller based on a multi-motor loss model optimizes the efficiency of the vehicle’s drive system. The low-level allocation controller is presented to provide optimally distributed torques for each wheel. Finally, the simulation and hardware-in-the-loop testing show that the coordinated control strategy can effectively improve the stability and economy of the distributed drive electric vehicle.